Victor Company Issued Bonds with a $250,000 Face Value and a 6

question 118

Multiple Choice

Victor Company issued bonds with a $250,000 face value and a 6% stated rate of interest on January 1, Year 1. The bonds carried a 5-year term and sold for 95. Victor uses the straight-line method of amortization. Interest is payable on December 31 of each year.The carrying value of the bond liability on the December 31, Year 3 balance sheet was:

• A) $241,000.
• B) $242,500.
• C) $237,500.
• D) $245,000.

---

Definitions:

Religious Services

The acts of worship and other ceremonial or ritualistic practices conducted in the context of a specific religion.

Middle-aged

A period of adulthood that typically describes individuals aged between 45 and 65, often characterized by stability, maturity, and increased responsibilities.

Faith

A strong belief or trust in someone or something often without logical proof.

Employment Rate

The percentage of the labor force that is employed, often used as an indicator of the economic health of a country or region.